Local Employment Profile

Name of Post: New Delhi, India

1.  Please provide a brief, general overview of local economy employment in your country.

India Shining!  -  This is the tagline that India uses to promote tourism and business investment in the country.  The Indian economy is "hot" and getting stronger.  More and more international companies are finding their ways to India, as the more laws encouraging outside investment are adopted in the country.  That said, there is an enormous pool of well-educated and very well-qualified individuals standing in line for all job openings! 

Working on the local economy at local wages, however, is not very appealing to most spouses.  Right now, a "good salary" for the Indian equivalent to a US position would be about 20% - 30% of the US salary.  And, in some cases, the percentage is even lower!  Nurses,teachers and secretaries make between $100.00 - $200.00 US per month, and that is for a 6½ day work week!   However, several US embassy spouses are currently working in local jobs quite happily.  The reason for their contentment is that they not only receive the salary but are also positioned very "high up" in the companies where they work, building their resumes and being in positions of influence. 

The most promising avenue of work, however, is not strictly local jobs; rather, the best employment opportunities are with international organizations (public, private and private non-profits) who want to hire expatriate workers for specific roles and who had expected to hire these workers by bringing them to India from the US or Europe.  If the timing is right, these companies can hire one of our qualified spouses for the same international salary that they had expected to pay, without providing any benefits, housing or extra travel.

Another new avenue for interesting jobs in the future will probably be in the retail industry, as international companies from Walmart to Chanel, plan to open outlets in India.

One more possibility:  affiliating with a long company (NGO or for-profit firm) and create a tailor-made job for oneself.  There are a number of organizations willing to "shelter" an expat with skills and drive so that both the expat worker and the firm will benefit from his/her energy and marketing skills.

And, finally:  it is also possible to start one's own home-based business, either "virtual" or "real" since internet connections are well established and because the growing Indian middle class provides an excellent market for most businesses.

2.   In order to work on the local economy, how important is it for spouses to have a level of proficiency in the local language? 

Since English is one of the official languages of India, more expatriate workers will be able do quite nicely if they are fluent in the English language.  They may, however, miss out on the informal conversations, which add to the overall quality of work in any organization.  

3.  Can you comment on the general salary situation for local economy jobs.  If possible, provide general salary ranges.

As noted above, salaries for local jobs are very low - individuals should expect to earn between 15% - 30% of his/her US salary for the same work.  Salaries with international companies or with national companies that aspire to be seen as "global companies" are somewhat better.  Executive search firms claim that the gap between US and European salaries and Indian salaries are closing in a number of industries. Individuals finding jobs with international companies in job slots that had been intended for individuals recruited from abroad will find salaries in India equivalent to US or European salaries.

4.  Is there a bilateral agreement or de facto work arrangement in your country?  How difficult is it to obtain a work permit?                

There is a bilateral agreement in force.  Work permits, or more accurately "no objection (to working) letters" seem to be automatically granted to spouses in response to the diplomatic note from the government of the United States to the government of India requesting that "no objection" letter.                                                                                             

5.  What are the U.S. tax implications to be aware of, when taking a job on the local economy?

Indian taxes and social benefit costs are deducted by the employer prior to issuing the net pay to the expatriate worker.  In generally, tax rates are much lower than in the US.  Most individuals working in India can get credit for the taxes paid in India against their US federal tax bill.  Self employed individuals are expected to pay taxes as well, according to the rules of the federal, state and local governments. 

6.  Are there any issues with diplomatic immunity related to taking a local job?

Those diplomatic spouses working on the local economy do need to waive that kind of diplomatic civil immunity that applies to their commercial work in the country.  

7. What types of jobs are available?  Can you provide examples of businesses where spouses participating in the SNAP program have found jobs?

At present (current as of October 29, 2005), spouses of American diplomats are filling 37 different jobs outside of the embassy.  Since some individuals have two part-time positions, these 37 jobs are now filled by 34 different individuals.

• Elementary and Secondary School Teachers (8)
• Tutor (2)
• Music Teacher (1)
• Consultants to International companies (5)
• Full time workers in International companies (2)
• Film maker (1)
• Teleworker (1)
• Physician (1)
• Liaison Officer (At School for Korean families) (1)
• IT Industry - Local (1)
• IT Industry - International (2)
• Independent Consultant (1)
• Home-based Business (jewelry design; interior décor) (3)
• Singer (2)
• Voice-Over Artist (1)
• Real Estate Agent (1)
• Librarian (1)
• Nursing Instructor - local institution (1)
• School Nurse (1)
• Hospital Administration Position (1) 

8.  What is the average length of time it generally takes spouses to find work on the local economy?

The average time of most job searches seems to be between 2 and 3 months, unless one is able to get an assignment before coming to India!

9.  What is the best thing that you can say about the potential for finding work on the local economy?

Everyone can find a job on the local economy and most companies welcome expatriate workers.  

10.  What are the greatest obstacles spouses face in seeking local employment? 

The greatest obstacles facing spouses, in no specific order:
(1) The cost of living is so low here that most families do not feel much of an economic pinch, and getting a low-paying job on the local economy. 
(2) Salaries are very modest in comparison to U.S. wages.
(3) Working conditions are not always as comfortable as spouses require. 
(4) Many spouses want to work part time and most Indian companies do not have roles for consultants and/or part-time employees. 
(5) The fact that spouses will be leaving India within a few years is not well received by Indian companies. 
(6) While English is an official language and work can be done in that language, it is not the informal language of the workplace; local language skills may be needed if the spouse is to be able to take part in the social interaction of the work place.
(7) Delhi is a huge city (10 - 15 million, depending upon what geographic boundaries inform the count) and sometimes job openings are in locations too distant for many spouses to consider.
(8) Most spouses do not want to work 5 ½ days per week.

11. Is it necessary to obtain permission from the embassy to work on the local economy?

Yes, the embassy must give the spouse permission to work in a specific role on the local economy.  Once the embassy approves the proposed work, it then sends a diplomatic note to the Indian Ministry of Foreign Affairs requesting a "no objection to working" letter for the specific job that the spouse wants to accept.

12. Please comment on anything else that you think would be useful information to spouses who are interested in finding jobs locally. 

Working on the local economy, either for an Indian institution or for a global company with an office in India gives the spouse a very interesting window on the culture of India. Although salaries may be very low, there are other rewards for working in India, according to spouses currently employed.